Ask Question
12 February, 07:26

Which of the following statements about property dividends is not true?

a. A property dividend is usually in the form of securities of other companies.

b. A property dividend is also called a dividend in kind.

c. The accounting for a property dividend should be based on the carrying value (book

value) of the nonmonetary assets transferred.

d. All of these statements are true.

+1
Answers (1)
  1. 12 February, 09:45
    0
    c. The accounting for a property dividend should be based on the carrying value (book

    value) of the non-monetary assets transferred.

    Explanation:

    As per the Generally Accepted Accounting Principles which states the basic laws for accounting any transaction, states that,

    The property dividends that is dividend distributed not in cash but dividend in the form of property like land and building, securities, other assets, etc: shall be recorded at net fair value.

    These dividend are not recorded at carrying book values of the property given.
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅ “Which of the following statements about property dividends is not true? a. A property dividend is usually in the form of securities of ...” in 📙 Business if there is no answer or all answers are wrong, use a search bar and try to find the answer among similar questions.
Search for Other Answers